subject: Business Record Keeping - Organizing Business Records [print this page] Organization of record keepingOrganization of record keeping. A lot of people ask me, "Do you want me to keep receipts? How do I handle my paperwork?" There are a lot of questions that come in this area and quite frankly, it's a really important area.
I think one of the key things is it all ties into organization and discipline in your business. As a business person, you have to be the driver of organization and discipline. It's so important.
You need to segregate your personal and your business:
- Separate bank accounts, credit cards, and debit cards.
- Keep your receipts and a day planner to document your daily business activities.
- Keep your books up to date in accounting software and reconcile the accounts.
This way, you can really have all of your business completely separate from your personal. And it's really important for you to have all this information so you can go back at the end of the month, and review your results and honestly assess how you are doing.
You need to plan your cash flow and update your business plan if you need to. If you see things are going well, maybe you need to look at some expansion. If things aren't going so well, maybe you need to look at some contraction and focus in a specific area.
Collect your money before it gets stale. It does get stale fast. Pay attention to the profits necessary to pay the bills. That's really a key. The 80/20 rule: take care of the 20% of your customers that generate 80% of your revenue.
If you're feeling like there are some problems or you are a little bit overwhelmed, you are getting behind, don't wait too long to get help. Don't wait until the end of the year to look at your results. That's not good. It's not going to help you be successful as a business person.
I'm Peter Holtz. For more ideas on how to be an effective business person and to run your business well, check out my website at www.financialperformancecenter.com
Business Record Keeping - Organizing Business Records
By: Peter Holtz
welcome to Insurances.net (https://www.insurances.net)
